Friday, July 22, 2016

Tapie affair: the Supreme Court validates the return of Christine Lagarde in court – The World

the Supreme Court rejected on Friday 22 July, the appeal of Christine Lagarde against its referral to the Court of justice of the Republic (CJR). The prosecution had called for the 1 st July rejection. The Executive Director of the International Monetary Fund (IMF) will meet from “negligence” in the case of arbitration rendered in favor of Bernard Tapie in 2008.

The lawyer M me Lagarde, Patrick Maisonneuve, regretted this decision, preventing the Court of Cassation did “nothing decided the substantive question of the responsibility of Christine Lagarde” . “This debate will take place before the CJR and I am convinced that it will spread responsibility of M me Lagarde” , he said.

Why Christine Lagarde is it challenged?

This is as a former Minister of economy Nicolas Sarkozy, from 2007 to 2011, Christine Lagarde, under investigation by the RGC to “negligence” in the use of public funds in August 2014, will have to answer for his role in the establishment of private arbitration between Bernard Tapie and Credit Lyonnais.

Driven by the Elysee, M me Lagarde had given in 2007 endorsed the establishment this arbitration was finally granted in July 2008, 405 million euros to the businessman as part of its dispute with Credit Lyonnais, related to the sale of Adidas – the controversial arbitration award, since been canceled

in its order for reference, the magistrates of the CJR gave Christine Lagarde to act on becoming minister in June 2007, while the arbitration was already preparing. They also acknowledged that she had no personal relationship with the protagonists and it did not intervene in the selection of three arbitrators, one of Pierre Estoup, the most controversial.

But they felt that his decision to turn its back on ordinary justice and to enter into arbitration in spite of “the disagreement and repeated the Agency for State holdings” (EPAs ) was “unwelcome” was “unprepared” and “poorly framed.”

Placed under its authority, the EPA had shown clear from the 1 st of August 2007. in a memorandum addressed M me Lagarde, she said “inadvisable to minister means of arbitration that is justified neither from the perspective of the state nor the CDR point of view [the structure responsible for managing the liabilities of Credit Lyonnais] “ .

the judges particularly noted the explanations “unconvincing, if not distressing” Christine Lagarde and her attitude to record showed “precipitation and a serious constituent lightness negligence on the part of a minister responsible for the conduct of state affairs “.

M me Lagarde told repeatedly have “always acted in this matter in the interest of the state and in compliance with the law.” “It seems to me now that I should have been more suspicious” she told the judges on May 23, 2013.

Tribune: Case Tapie: Sarkozy’s mistakes and Ms. Lagarde

What risk Christine Lagarde?

offense “negligence “ in the use of public funds can be punished with one year in prison and 15,000 euros fine.

This is in December 2015 that the Hearing Committee the RGC decided to refer the IMF Managing Director before the bench of the CJR, sole authority to decide the legal fate of ministers prosecuted for acts committed in the exercise of their functions. In September, the prosecution had yet requested a dismissal in favor.

The rejection of his appeal being upheld, Christine Lagarde appear so to a still unknown date before six deputies, six senators and three judges.

Can she remain at the head of the IMF?

the decision of the Court of Cassation comes as the IMF Managing Director has officially begin his second term as head of the international institution, July 5. Only candidate nominated, it was renewed on February 19 for a term of five years.

On Friday, the IMF reiterated its confidence. The board of directors, representing its 189 member states, “continues to express confidence in the ability of the CEO to fulfill its functions effectively” , said the spokesman word of the institution, Gerry Rice.

Already shortly after the announcement of his dismissal on trial before the CJR in December 2015, the IMF had expressed his “trust” the ability of M me Lagarde to fulfill its mission. The Finance Minister Michel Sapin, was also recalled from New York, that M me Lagarde was “presumed innocent” and could stay in office.

Read also: Christine Lagarde escort to the head of the IMF

on June 30, the Supreme Court upheld the cancellation of “arbitration Tapie” July 2008 dismissing the appeal of the couple Tapie. On 17 February 2015 the Paris Court of Appeal had found that the arbitration award in favor of the former boss of Olympique Marseille was tainted by “fraud”. links “old, narrow and repeated” between Bernard Tapie, his lawyer, Maurice Lantourne, and one of the three judges referees, Pierre Estoup, cast doubt on the impartiality of the decision, according to the judges.

Read also: arbitration Tapie is canceled but the deal is not completed

the endless Tapie is however far from being closed, the an advice of the businessman who announced the intention to “beat” and enter the European Court of human rights.

a second appeal of Mr Tapie, on the 405 million euros it is supposed to pay, is still pending before the Court of Cassation. In December 2015, Mr Tapie, sentenced by the Court of Appeal of Paris to make the amounts collected during arbitration, had placed all of its assets in backup process.

Finally, under criminal law, examining magistrates notified on June 23, the end of their investigation to the six indictees, including MM. Tapie, Lantourne and Estoup prosecuted for “organized fraud”